Q5 - Kevin Edwards, EnSilica

Electronics Weekly puts its questions to an industry figure: Kevin Edwards, business development director at design services firm EnSilica

You said earlier this year EnSilica was winning design contracts against competition from cheaper labour areas such as India. Has this continued?
We have since won a contract to provide engineers on a project for a customer who already uses overseas companies. Naturally it's simpler for customers to make comparisons of project cost on fixed-price contracts, but this demonstrates that we can also compete on a time and material basis when quality, reliability, and support are key decision factors.

Do EnSilica have their own ICs in mind for the future or will you always design for customers?
I wouldn't rule it out as a future possibility, but the plan for the near-term future is to build our design services business. An IC development would be a significant undertaking that could conflict with design services. Becoming a product-focused company would be a step change for the organisation.

The idea that you design chips for fables semiconductor start-ups is a bit strange. Do these firms have anything before they turn to you?
I don't think the idea is strange. For start-up companies, the time and investment needed to build and maintain a team is significant. As part of the supply chain we're a ready-made engineering team, adding value by applying skills, knowledge, and IP, to reduce their time to product implementation. They have product concepts, engineering management, patents, funding, and an identified route to market before they turn to us.

Is it hard finding the contracts or are you well-known enough now to sit back and let them come to you?
We have seen an increase in the number of new customers and in the amount of repeat business, but we have to work to achieve our targets for growth and expansion. I don't think any company irrespective of size or market position can afford to become complacent and you won't ever find us sitting back or resting on our laurels.

Your investment in EDA tools must be pretty high. Are they always well made to fit your need?
EDA tools are necessary and not cheap, but our suppliers have been flexible with business terms. As a design service company we add value by applying our experience on existing methodologies to achieve good results or to pipe-clean new flows. We recently worked with one customer and an EDA supplier to establish a low-power methodology using a tool in beta release.

See also: Electronics Weekly's Technology Start-ups, where you can find articles on technology start-ups in the UK and links to useful websites for the technology entrepreneur.